Washington: US President Donald Trump has announced that Apple will collaborate with Intel to design and manufacture semiconductor chips in the United States to encourage domestic production of critical technologies.
In a post on Truth Social, Trump said that the United States should focus not only on designing advanced semiconductor chips but also on manufacturing them within the country.
Trump also claimed that the US government had acquired a 10 percent equity stake in Intel. According to him, the company’s valuation has increased from about $100 billion to $600 billion over the past nine months, taking the value of the government’s holding to more than $60 billion. No additional details on the reported investment were announced.
Apple to Diversify Chip Manufacturing
The proposed collaboration is expected to expand Apple’s manufacturing options. The company currently depends largely on Taiwan Semiconductor Manufacturing Company for the production of its most advanced chips.
A report by The Wall Street Journal in May said Apple and Intel had reached a preliminary agreement, although the companies have not disclosed details of the arrangement.
The development comes as the US government seeks to strengthen domestic semiconductor manufacturing and reduce reliance on overseas production amid continuing geopolitical and supply chain concerns.
In the same Truth Social post, Trump said Nvidia had agreed to manufacture certain advanced chips through Intel’s foundry business. He also said Elon Musk had agreed to build the TerraFab project in the United States.
Intel is currently advancing its Intel 18A-P process technology, which is intended for next-generation semiconductor manufacturing.
Naga Chandrasekaran, Executive Vice President and General Manager of Intel Foundry, said that, “Our updates and presentations at VLSI signal to Intel Foundry customers and partners that we are fully committed to leading-edge process innovation over the long term. This is a journey, and while we have more work ahead, we appreciate the opportunity to share the progress we are making with Intel 18A-P and our longer-range R&D.”
